What is the difference between an ETF and an ETC?

ETC (exchange-traded commodity) is a term used more commonly in Europe and can cover products that provide commodity exposure. Depending on structure, an ETC may be physically backed (like bullion) or may use debt-note or derivative structures.

ETFs are more broadly "fund" wrappers that can hold stocks, bonds, and sometimes commodities exposure depending on jurisdiction and rules. In some markets, commodity exposure is offered via ETCs rather than traditional ETFs.

The key is to look past the label: check whether the product is physically backed, how custody works, what collateral is posted, and whether you're taking issuer credit risk. Those details drive real-world risk more than the acronym.